HRM Exam #1 (Ch 1-3)

human resource management

the process of managing human talent to achieve an org’s objective

• involves a wide variety of activities including:

  • analyzing a company’s competitive environment

  • designing jobs and teams

human capital

the knowledge, skills, and capabilities of individuals who have economic value to an org (KSAOs)

• it is intangible

• managers need to develop knowledge, skills, experiences

organizational culture

the shared values, beliefs, and assumptions ppl in an org have

• affects how ppl in an org work and treat each other and their customers

• negative culture: stifles employees and leads to lower productivity and morale

• positive culture: helps employees acquire knowledge and skills; allows employees to grow and thrive

human capital and organizational culture chart

strategic planning

procedures for making decisions about the org’s long-term goals and strategies

human resource planning (HRP)

process of anticipating and providing for the movement of people into, within, and out of an org

strategic human resource management

human resources deployments and activities that enable an org to achieve its strategic goals

step 1

mission, vision, values

mission

basic purpose of the org as well as its scope of operations

strategic vision

statement about where the company is going and what it intends to become in the future

• compared to mission, the vision ideally clarifies the long-term direction of the company and its strategic intent

core values

strong and enduring beliefs and principles that guide a firm’s decisions and are the foundation of its corporate culture

forecasting

three factors seem to have influenced the growth of EEO legislation

• changing attitudes toward employment discrimination

• published reports highlighting the economic problems and injustices experienced by underrepresented workers

• growing body of disparate discrimination laws and regulations at diff levels of gov that legislators feel should be standardized

it is illegal to discriminate in any aspect of employment, including:

• hiring and firing

• compensation, assignment, or classification of employees

• transfer promotion, layoff, or recall

• job advertisements

• recruitment

• testing

• use of company facilities

• training and apprenticeship programs

• fringe benefits

• pay, retirement plans, and disability leave

• other terms and conditions of employment

discriminatory practices under these laws also include:

• harassment on the basis of race, color, religion, sex, national origin, disability, genetic info, or age

• retaliation against an individual for filing a change of discrimination, participating in an investigation, or opposing discriminatory practices

• employment decisions based on stereotypes, or assumptions about the abilities, traits, or performance of individuals of a certain sex, race, age, religion, or ethnic group, or individuals with disabilities, or based on myths or assumptions about an individual’s genetic info

• denying employment opportunities to a person bc of marriage to, or assoc w, an individual or a particular race, religion, nation origin, or individual w a disability. Title 7 also prohibits discrimination bc of participation in schools or places of worship assoc w a particular racial, ethnic, or religious group

protected classes

individuals of underrepresented races, women, older people, and individuals with disabilities who are covered by federal laws on equal employment opportunity

Civil Rights Act of 1964

• landmark law that addresses discrimination in society

• Title VII of the act specifically bars employment discrimination in all HR activities

• created the EEOC to administer the law and thereby promote equal employment opportunity

sexual harassment

unwelcome advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature in the working environment

EEOC recognizes two forms of sexual harassment as illegal under Title VII

• quid pro quo

• hostile environment

quid pro quo

submission to or rejection of sexual conduct is used as a basis for employment decisions

hostile environment

unwelcome sexual conduct “unreasonably interfer[es] with an individual’s work performance” or creates an “intimidating, hostile, or offensive working environment”

EEOC considers an employer guilty of sexual harassment when

• they know or should have known about the unlawful conduct and failed to remedy it or to take corrective action

• they allow nonemployees (customers or salespeople) to sexually harass employees

• #MeToo

uniform guidelines on employee selection procedures

a procedural document published in the Federal Register to help employers comply w federal regulations against discriminatory actions

validity

employers must be able to prove that the selection instrument bears a direct relationship to success on the job

adverse impact

a concept that refers to the rejection of a significantly higher percentage of a protected class for employment, placement, or promotion when compared with the successful, nonprotected class

disparate treatment

a situation in which protected class members receive unequal treatment or are evaluated by diff standards

charge form

a discrimination complaint filed w the EEOC by employees or job applicants

• must be filed w in 180 days of the alleged unlawful practice occurring

• notifies the employer that a charge has been filed

retaliation

• managers must not retaliate against individuals who invoke their legal rights to file charges or to support other employees during EEOC proceedings

• can include any punitive action taken against employees who elect to exercise their legal rights before any EEO agency

affirmative action

a policy that goes beyond EEO by requiring orgs to comply w the law and correct any past discriminatory practices by increasing the #s of underrepresented groups in specific positions

• specifically, employers must:

  • provide an org profile that graphically illustrates their workforce demographics

  • establish goals and timetables for employee of underutilized protected classes

linking strategic planning and human resources

• step 1: mission, vision, and values

• step 2: external analysis

• step 3: internal analysis

• step 4: formulating a strategy

• step 5: executing a firm’s strategy

• step 6: evaluation

quantitative approaches

forecasting approaches involve the use of statistical or mathematical techniques

• trend analysis: forecasting labor demand based on a factor, such as sales

• more advanced methods combine several factors, such as interest rates, gross domestic product, the disposable income of consumers, and sales

qualitative approaches

• management forecasts: the opinions (judgments) of supervisors, department managers, experts, or others knowledgeable about the org’s future employment needs

• delphi technique: decreases the subjectivity by soliciting and summarizing the judgments of a preselected group of individuals

forecasting a firm’s demand for employees

• quantitative approach

• qualitative approach

forecasting the supply of employees

• staffing table: shows a firm’s jobs, along w the #s of employees currently occupying those jobs and future of employment requirements

• Markov analysis: tracks the pattern of employee movements through various jobs in a firm

• Quality of fill: measures how well new hires who fill positions are performing on the job

• skill inventories: files of personnel education, experience, interests, skills, and so on that allow managers to quickly match job openings w employee backgrounds

• management inventories: when data are gathered on managers

• replacement charts: listings of current jobholders and ppl who are potential replacements if an opening occurs

• succession planning: process of identifying, developing, and tracking key individuals for executive positions

• talent reviews: strategic meetings to determine if a company has the HR it needs to compete in the future

Bona Fide Occupational Qualification (BFOQ)

suitable defense against a discrimination charge only when age, religion, sex, or national origin is an actual qualification for performing the job

• business necessity: work-related practice that is necessary to the safe and efficient operation of an org

religious preference

employers need only make a reasonable accommodation for a current employee’s or job applicant’s religious observance or practice without incurring undue hardship in the conduct of the business

reasonable accommodation

• attempt by employers to adjust, without undue hardship, the working conditions or schedules of employees w disabilities or religious preferences

• amendments to the ADA:

  • broadened definition of what constitutes a disability

  • made it less likely that a person will be denied protection bc their condition doesn’t seem severe enough or bc the person’s symptoms are minimized by drugs, prosthetic devices, and so forth

emerging employment discrimination issues

• weight discrimination

• attractiveness and discrimination

• natural hair discrimination

• caregivers and discrimination

SWOT analysis

• strengths, weaknesses, opportunities, and threats

• a simple way to summarize the major facts and forecasts derived from external and internal analyses

environmental scanning

• systematic monitoring of the major external forces influencing the org

• includes forces in the business environment and the competitive environment

business environment

• factors in the external environment that a firm cannot directly control but that can affect its strategy and performance

• firms can only adapt to these changes rather than influence them

economic changes

during good economic times, firms can more easily expand; during bad times, they often contract

ecological changes

conditions in the natural environment like climate change, wildfires, etc

technological changes

while some firms adapt their strategies to take advantage of technological changes like the internet, others are slower to react and may fall victim to the change and faster-moving competitors

demographic and social changes

changes in the labor supply can limit the strategies available to firms and societal attitudes are constantly changing the business landscape for firms in all industries

legal and regulatory changes

any one change in laws and admin rulings can require firms and entire industries to dramatically adjust their strategic directions

competitive environment

a firm’s specific industry, including:

• customers

• rival firms

• new entrants

• substitutes

• suppliers

• stakeholders

benchmarking

the process of reviewing your practices and performance in a given area and comparing them w those of other companies

• the HR benchmarks, or metrics, a firm collects fall into two basic categories:

  • human capital metrics assess aspects of the workforce

  • HR metrics assess the performance of the HR function itself

• HR managers can’t simply rely on the benchmarks and strategies of other firms but instead must develop their own

internal analysis

• core capabilities: integrated knowledge sets w in an org that distinguish it from its competitors and that deliver value to customers (processes, systems, ppl)

• value creation: what a firm adds to a product or service by virtue of their making it; the amount of benefits provided by the product or service once the costs of making it are subtracted

• cultural audits

sustaining a competitive advantage through ppl

orgs can achieve a sustained competitive advantage if their resources meet the following criteria:

• the resources must be valuable

• the resources must be rare

• the resources must be difficult to imitate

• the resources must be organized

types of talent and their composition in the workforce

• strategic knowledge workers

• core employees

• supporting workers

• complementary (external) partners

formulating a strategy

• growth and diversification

• mergers and acquisitions

• strategic alliances and joint ventures

• low cost

• differentiation